Council breaching revenue rules over VAT on fuel, report reveals

Craven Council breached Revenue and Customs rules and a councillor was paid expenses despite an out-of-date driving licence on file, a report has revealed.

Reimbursment was made for 1,600 miles after the councillor’s driving licence expired, according to the Internal Audit Review of Members’ Expenses.

“It may be that the councillor has an up-to -date driving license now, but this information has yet to be submitted to the council,” said the report, which will be presented to Craven Council’s Audit and Governance Committee today.

One councillor claimed for mileage during a period not covered by the insurance policy and a third claimed and received reimbursement for mileage travelled while on official council business – despite having inadequate annual business insurance cover.

The report found that Craven Council is “currently breaching HMRC’s rules relating to the VAT treatment of fuel when used in private vehicles”.

And it revealed four councillors have claimed and received reimbursement for mileage undertaken but have failed to submit details of the driving licences or business insurance when requested by the finance team as part of their annual procedures.

Continue reading Council breaching revenue rules over VAT on fuel, report reveals – Yorkshire Post.

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